Satellite dish in the satellite network at the Madeira Eutelsat office. Photographer: /Bloomberg via Getty Images
Zed Jameson Bloomberg via Getty Images
Actions of the French satellite operator Eutelsat Last week, Skayrno was almost 390% – and the potential change of ticks in European defense helps in birth.
The price of the company's shares observed extremely unstable movements last week, increased by 77% on Tuesday and another 120% on Wednesday. From the closing price of February 28 to closure last Friday, shares increased by 387%eyewitted.
Eutelsata's actions continued to grow on Monday, jumping by more than 22% from 13:00 local time in Paris.
What is behind the huge increases in Eutelsata share prices? CNBC goes through everything you need to know.
What is Eutelsat?
Eutelsat is a French company that produces data connectivity satellites. The company sends its satellites into space using rockets such as Elon Musk's Spacex, implementing them both in low land orbit (Leo) and geostationary orbit (GEO).
After the agreement on the combination of operations with the British Satellite company Oneweb in 2023, Eutelsat became the third largest satellite operator in the world in terms of revenues. He competes with the Satellite Starlink Starlink Starlink undertaking, a subsidiary of SpaceX.
Why are actions growing rapidly?
Last week, reports appeared suggesting that Eutelsat ran to potentially replace Starlink Muska in tired Ukraine. Over the years, Starlink has offered Ukraine's military satellite its internet services to help in war efforts during the Russian invasion.
However, relations between the USA and Ukraine have recently been accommodated after the election of President Donald Trump. Musk acts as the head of the newly developed government department, an advisory authority supporting administration.
Last week, Trump stopped all military help in Ukraine after a clash with the president of the country Volodymyr Zelenskyy. The confrontation took place after Trump changed the US policy to Ukraine and Russia, opening conversations with Moscow again.
In February, reports were found that US negotiators raised the possibility of limiting Ukraine's access to Starlink, if both countries are not able to effectively negotiate contracts for the US to provide access to land minerals in Ukraine.
On March 4, Eutelsat said he was talking to the European Union to provide additional access to the Internet to Ukraine.
The actions of the French company began to grow the day before, based on speculation that Eutelsat can serve as a deputy Starlink in Ukraine, if negotiations from the US are cracking.
Will Eutelsat replace Starlink?
It is not completely clear yet. The company discusses the extension of its services in Ukraine with the EU.
Eutselsat probably has the scale of offering additional support for Ukraine in terms of satellite communication. The company claims that it currently has a fleet of 35 GEO satellites, in addition to the constellation Leo, over 600 satellites.
At the weekend, Musk and US Secretary of State Marco Rubio had spray with the Minister of Foreign Affairs of Poland on the X, a social platform, previously known as Twitter, which Musk has.
The technology billionaire said that the “whole line of the front” of Ukraine would collapse if he was to turn off Starlink.
In response, the Polish Foreign Minister Radoslaw Sikorski said that his country was paying Starlink for services in Ukraine, which Warsaw supported in the fight against Moscow's invasion from 2022. He added that Poland can look for alternative suppliers if Starlink turned out to be a “unbelievable supplier”.
Rubio questioned Sikorski's claims, saying: “Nobody threatened to cut Ukraine from Starlink” and gratitude – while the musk called the Polish policy “little man”.
On Monday, Polish Prime Minister Donald Tusk defended his foreign minister, saying that Sikorski “calmly” explained to officials “Polish Raison d'tetat to officials from another country.”